KBRA Assigns Preliminary Ratings to HTS Fund II LLC
16 Jun 2025 | New York
KBRA assigns preliminary ratings to two classes of notes issued by HTS Fund II LLC (HTS 2025-1), a $155.3 million property tax lien ABS transaction. Proceeds from the Notes will be used to acquire a portfolio of 4,649 property tax loan assets from municipalities within Texas, including Harris County (21.9%), Dallas (13.3%), and Bexar (6.4%), with a redemptive value of approximately $138.2 million (the Initial Tax Loans) and a weighted average interest rate of 12.8%. HTS 2025-1 is a partially pre-funded transaction where the Notes are initially supported by $21.3 million deposited into two prefunding accounts (approximately 13.7% of the initial Note balance) that will be used to fund tax loans subject to certain eligibility criteria.
Home Tax Solutions, LLC (HTS or the Company) was founded in 2012 and is a specialty finance holding company that funds real estate tax loans in Texas. The Company is comprised of 30 individuals operating out of five offices with headquarters in Dallas. As of April 30, 2025, HTS has originated approximately $325.0 million in tax loans since inception, of which approximately $142.5 million are outstanding.
To access ratings and relevant documents, click here.
Click here to view the report.